2011 ANNUAL REPORT AdiralRnalm o d Hays

For all the right reasons, 2011 has been a year to remember the Pacific Aviation Museum . We recognized early on that the fragile state of the economy, both at home and abroad, would present daunting challenges for private, not-for-profit organizations. The staff and volunteers united behind our Board of Directors and moved quickly to identify the challenges and develop timely and effective solutions. Our preemptive action and teamwork, combined with the continued strong support of our loyal friends and generous benefactors, paid dividends. We maintained momentum; made gains in promoting our Museum; enhanced our reputation; increased our visitor count; and generated liquidity in excess of operating costs. The results were due to a combination of factors • We established a Frank DerYuen and initiatives: Scholarship, named to honor a local • Operating costs were monitored aviation pioneer. The scholarships will closely and adjusted as necessary. be awarded to deserving students pursuing aviation-oriented studies. • Through the generous support of donors and the Air National In summary, 2011 has been a year Guard, we grew our aircraft inventory. that repeatedly tested our versatility and resolve, and we passed the test! • Our community and international The results speak for themselves. As outreach programs were expanded. chairman, I am proud to represent an • We became increasingly the venue organization in which each individual, of choice for social and business be they a board member, employee, events which further improved our volunteer, or large or small donor, has revenue stream. a demonstrated interest and personal

• Through skillful and creative stake in the projects we undertake. management of limited resources The successes we achieved this year and tied to a powerful multimedia were due entirely to this dedicated network, our Marketing Department “ohana” (family). To each of them and was consistently successful in getting to each of you, our loyal supporters, our name displayed prominently I offer a hearty “Well done” and before the public. unbounded gratitude.

• We redoubled our fundraising efforts both locally and on the mainland.

01 PACIFIC AVIATION MUSEUM Pearl Harbor PACIFIC AVIATION MUSEUM BOARD OF DIRECTORS

CHAIRMAN EXECUTIVE DIRECTOR ADM Ronald J. Hays, USN (Ret.) Kenneth H. DeHoff, Jr.

PRESIDENT ADVISORY BOARD Clinton R. Churchill Elmer “Woody” Anderson ADM Stanley R. Arthur, USN (Ret.) EXECUTIVE VICE PRESIDENT Pedro Chan ADM R. J. “Zap” Zlatoper, USN (Ret.) Gerald Coffee VICE PRESIDENTS Gen John K. Davis, USMC (Ret.) Charles K. Cotton Superintendent Paul DePrey, NPS MG Edward V. Richardson, USAF (Ret.) RADM Ken Fisher, USN (Ret.) Darrell G. Welch, Jr. BGen Jerome Hagen, USMC (Ret.) ADM Thomas B. Hayward, USN (Ret.) VICE PRESIDENT AND LEGAL COUNSEL Peter Starn VADM Gerald H. Hoewing, USN (Ret.) R.A. “Bob” Hoover SECRETARY Senator Daniel K. Inouye Richard M. May, Jr. Dr. Timothy Keck TREASURER Gen John Lorber, USAF (Ret.) Michael L. Olson Senator John McCain, III Gen Merrill A. McPeak, USAF (Ret.) DIRECTORS Jim Nabors Kenneth R. Bailey BrigGen Chuck Yeager, USAF (Ret.) Aileen Blanc VADM Michael Bowman, USN (Ret.) David P. Brostrom Henry P. Bruckner BrigGen Benjamin Cassiday, USAF (Ret.) Dennis Fitzgerald Charles L. Goodwin Harvey Gray LtGen Earl Hailston, USMC(Ret.) Jim Hickerson Gary Hogan BrigGen Dwight M. Kealoha, USAF (Ret.) Thomas S. Kosasa, MD Thomas E. Lawrence Ruth Limtiaco Donn Parent James K. Schuler William Shankel, MD John T. Sterling Edward E. Swofford David Tumilowicz Beti Ward Kenneth D. Wiecking Shelley Wilson Ryan Yanagihara

PACIFIC AVIATION MUSEUM Pearl Harbor 02 Kneffe D Ho

In the 5th year of operations, Pacific Aviation Museum Pearl Harbor saw many projects, exhibits, aircraft acquisitions openings, and programs take to the skies. We are grateful for the work, the support we have received, and the relationships we have built during these past twelve months and since our inception.

We began and ended 2011 focused on the historic Control Tower. The structure has been sandblasted and stabilized with over 54 tons of new steel and 200 gallons of fresh red & white paint. A dedication ceremony marked the exterior completion, and a new American Flag was hoisted at the top. The Control Tower is now as bright as it was in the movies, Tora! Tora! Tora! and Pearl Harbor. While work continues on the Operations Building, Our Education Department has continued The 4th Annual Biggest Little Airshow the tower again stands gleaming in honor to expand the travels of the Barnstorming on Ford Island hosted over 10,000 fans of those who protected our nation and Tour Outreach Program. The popular as they watched big 40 “oversized” for the education of young and old. program provides 6th graders the remote control airplanes flown by Birds opportunity to learn the physics of of Paradise Club pilots. The event was In between, we opened new exhibits aviation and principles of flight. This expanded to include great dining for Amelia Earhart, Pan American program combines classroom instruction, experiences with choice food selections Airways, and the American Volunteer hands-on scientific experiments, a wind from around the island. Military Vehicle Group’s Flying Tigers. Each exhibit had tunnel demonstration, and a chance for Preservation Association vehicles, USCG tremendous support in the collection each of the students to fly our mobile Helicopter crew, US Navy Divers, Honolulu of artifacts, recording of stories, and P-40 simulator. We then arrange for Police Department, many Oahu island donation of memorabilia. For each the classes to visit the Museum and car clubs and two Big Bands all added opening, we received worldwide press see the aircraft up close, in real to the two days of air show excitement. coverage and high Internet acclaim. life. The Barnstorming Tour served Pacific Aviation Museum has become Our successes and achievements over over 1100 students during the year. an internationally recognized institution. this past year have been due to the The Museum assumed the operations leadership of our Board of Directors, Our aircraft collection expanded in 2011 of the Laniakea Café with new staff and the teamwork and dedication of our with the acquisition of the last flown management. It has been a wonderful staff and volunteers, and the synergy Japanese Nakajima Type 97 Kate experience to offer creative menu with our partnerships. Pacific Aviation Torpedo ; a US Army Air Force selections for our international guests. Museum Pearl Harbor is moving forward, Douglas C-47 Gooney Bird that was Catering many of our evening events, and with your help, 2012 will be another retired to cargo mission in Hawaii; the the Café has played an important part memorable year. Northrop F-5 Freedom Fighter; the last in the successes the Museum has had flown Navy Douglas A-3 Sky Warrior; as the newest premier meeting and and the Russian MiG-21PF Fishbed. party location. These aircraft will help us tell important Pacific region aviation story.

03 PACIFIC AVIATION MUSEUM Pearl Harbor FINANCIALS

Statement of Financial Position (Audited) for the Calendar Years ending 12/31/11 and 12/31/10

CURRENT ASSETS 2011 2010

Cash and Investments $ 540,053 $ 993,810 Contributions and Grants Receivable 919,972 464,477 Museum Fees Receivable 244,371 250,839

Prepaid Expenses and Other Current Assets 15,459 64,402 Total Current Assets $ 1,719,855 $ 1,773,528

MUSEUM COLLECTIONS $ 3,692,515 $ 3,135,025

Property and Equipment Leasehold Improvements and Exhibits $ 15,618,703 $ 11,273,303 Equipment, Furniture and Fixtures 546,429 501,928

Subtotal $ 16,165,132 $ 11,775,231

Less Accumulated Depreciation (1,572,984) (1,214,235)

Net Property and Equipment $ 14,592,148 $ 10,560,996

TOTAL ASSETS $ 20,004,518 $ 15,469,549

Liabilities and Net Assets

Liabilities Accounts Payable and Accrued Liabilities $ 1,024,252 $ 266,739 Net Payables 300,000 -0-

Total Liabilities $ 1,324,252 $ 266,739

Net Assets Unrestricted $ 18,398,511 $ 12,176,509 Temporarily Restricted 178,837 3,026,301 Permanently Restricted 102,918 -0-

Net Assets $ 18,680,266 $ 15,202,810

TOTAL LIABILITIES AND NET ASSETS $ 20,004,518 $ 15,469,549

PACIFIC AVIATION MUSEUM PEARL HARbOR 04 Arplaneollectioni c

Aircraft Type and Manufacturer Serial No. Date of Manufacture

On Display in Hangar 37 North American B-25B Mitchell 40-2261 1940 Mitsubishi A6M2 Zero B11-120 1939 Mitsubishi A6M2b Zero Ni’ihau crash 07 DEC 1941 1939 F4F-3 Wildcat BuNo 12296 1942 Douglas SBD-5 Dauntless BuNo 36177 1942 Curtiss P-40 Warhawk (replica) Stearman N2S-3 Kaydet BuNo 6707 1938 Aeronca TC-65 NC33768 1936 Douglas SBD Dauntless BuNo 7123 (in Pensacola) 1942 Boeing Model B-314 China Clipper Display Model Curtiss B-18 Honolulu Skylark Display Model

On Display in Hangar 79 Douglas SBD-4 Dauntless (replica) Curtiss P-40E Warhawk P-18723 1940 Boeing B-52E Stratofortress (nose section) 57-0101 1957 Bell UH-1H Huey 68-15708 1968 Bell AH-1S Cobra 66-15298 1966 Sikorsky UH-3H Sea King BuNo 152700 1961 Cessna O-2A Skymaster (restoration) 68-1XXXXX 1968 Stinson L-5E-1 Sentinel (restoration) 1945 Grumman F-14D Super Tomcat BuNo 163904 1991 McDonnell Douglas F-15A Eagle 76-0063 1976 Mikoyan-Gurevich MiG-15 Fagot Red 1524 1950 North American F-86E Sabre (Shown As) 51-2832 1951 Douglas NTA-3B Skywarrior (Flight test) BuNo 144867 1960 Sikorsky CH-53D Sea Stallion BuNo 157173 1970

Outside Display McDonnell Douglas F-4C Phantom II 64-0792 1964 North American F-86L Sabre 52-4191 1952 Lockheed T-33A Shooting Star 51-6533 1951

Aircraft Coming Northrop F-5A Freedom Fighter 68-9085 1968 Douglas C-47A Skytrain 41-8949 1941 Mikoyan-Gurevich MiG-21PF Fishbed Black 1302 1964 Kate (in storage in ) 1939 Boeing B-17E Flying Fortress “Swamp Ghost” 41-2446 1941*

* Tentative, currently in storage in Chino, CA

05 PACIFIC AVIATION MUSEUM Pearl Harbor SnatorT e ed Stevens & Pan Am Exhibit

The Ford Island Control Tower, the largest artifact in the museum’s collection, got the Lion’s share of attention in 2011. However, many significant additions enhanced our historic Hangars.

The WWII P-40 Warhawk, on loan from FedEx Corporation, is now the centerpiece of a display honoring the late Alaska Senator Ted Stevens, who regularly flew “the Hump,” a dangerous supply route to China, with the 14th Air Force “Flying Tigers.”

Gracing the lobby of Hangar 37 are: A finely detailed model of the Curtiss P-18, known as “Honolulu Skylark,” which made the first powered flight in Hawaii a century ago; Robert Bracci’s masterpiece diorama “Sunrise on the Fleet,” an exacting scale representation of Pearl Harbor on December 7, 1941; and an expansive Pan Am exhibit revived golden memories, thanks to Hawaii’s airline veterans, The Pan Am Aloha Clippers.

Also in Hangar 37, a discovery of original negatives by Matson Navigation Company archivist Lynn Krantz led to our large photo exhibit of Amelia Earhart, as she prepared for her two historic flights; and the Oral History Pavilion provides a serene spot to watch historic interviews compiled by videographers Bob Naylor and Mac Macomber. Mac MacKellar designed and built both the Pavilion and the Pan Am exhibit.

Our F-15 Eagle received proper engine and fuel tank attention courtesy of the Hawaii Air National Guard, whose members volunteer at the Museum. Last but not least, we welcome the Hawaii Military Vehicle Restoration Association, whose vintage vehicles complete the WWII backdrop in Hangar 79.

PACIFIC AVIATION MUSEUM Pearl Harbor 06 FROM THE EDUCATION DEPARTMENT

Pacific Aviation Museum Pearl Harbor for 2012 include the development of For every action there is an opposite reached over 10,000 children and youth weather, navigation, and astronomy and equal reaction.” More than 3000 through our education programs and workshops for both boys and girls. students in 35 schools are signed up historic hangar tours. We enabled for the 2011-2012 school year. The Barnstorming Tours is an outreach students to understand and value the program that travels to schools across As aviation science and technology history of aviation and emphasized Oahu to teach students about the basics develop over time, so will our Museum’s the science, technology, engineering of flight. Directed by Ken Dewey with education programs. New programs and math (STEM) principles of flight the support of a dedicated team of are being introduced to allow students through on-site and outreach programs. volunteers, this innovative program to investigate the history, science, and Two programs really made us shine this lights the spark of scientific inquiry social impact of aviation. As a result, year. Our Boy and Girl Scout programs, through hands-on activities and we have been able to educate and inspire led by Ford Ebesugawa, served nearly interactive demonstrations. Students scores of youth by empowering them 600 students through merit badge have a chance to operate the rudders with knowledge that can shape their workshops, special interest activities, and stick of a WWII P-40 aircraft model, future careers. On behalf of all of us at and one-day outings. Our annual and our portable wind tunnel, in addition Pacific Aviation Museum Pearl Harbor, “Discover Your Future in Aviation” to trying fun experiments using soda thank you for supporting our Museum’s program attracted over 400 Scouts cans, water bottles, straws and candles. education programs. and their families to the Museum for Here’s a typical comment from one of a day-long exploration of aviation-related our Barnstorming participants: “I wish careers. The Aloha Council Scout that you could stay forever!...I learned Makahiki Day in April involved an lots…like how planes work and how additional 350 Scouts. Our goals Newton’s Third Law of Motion shows:

07 PACIFIC AVIATION MUSEUM Pearl Harbor 5hAniversart n y dinner

The Museum’s swinging Accentuate the Positive! 5th Anniversary Dinner Celebration on December 1st received rave reviews! On the same day, Hawaii also welcomed the unveiling of the stabilized historic Ford Island Control Tower with a fresh coat of red and white paint. All were timed perfectly for Pearl Harbor’s 70th Anniversary Ceremonies marking the December 7, 1941 surprise attack.

As the sun began to set, party time began in style. Cocktails were served in Hangar 79’s Lt. Ted Shealy’s Restoration Workshop, as guests chatted and roamed the silent auction aisles. When the lights were dimmed, the bagpipes started. The black curtains were pulled back, revealing a spacious floor of decorated dinner tables, beautifully arranged amidst vintage aircraft. Staff and volunteers re-enacted a WWII scene of maintenance mechanics and repairmen working on the planes; two Rosie the Riveters represented the American women who worked in WWII factories to welcome our guests. PBS Little Big Band struck up their opening notes with a nostalgic 1940’s number “Accentuate the Positive!” – the theme for the evening fundraiser. Military, civic, and community dignitaries sat down for a leisurely dinner, savoring the award-winning cuisine by Chef Chai Chaowasaree of Chai’s Island Bistro.

Two awards were presented. William W. “Bill” Paty Jr. was honored for the Museum’s “Building Bridges Award” for his lifetime of exceptional service to the community, military, businesses, and to the nation. The S.T.E.M. Education Award went to BAE Systems and the University of Hawaii’s Archimedes Hawaii Project of the Curriculum Research & Development Group (CRDG) for their valuable contribution to the joint development of the Museum’s Barnstorming Tours Program. This immensely popular S.T.E.M.-focused outreach program has inspired Oahu’s grade school students, helping them obtain a clear grasp of aviation, science, technology, engineering, and mathematics.

We look forward to seeing you again in December, for another delectable evening of fun and surprise!

PACIFIC AVIATION MUSEUM Pearl Harbor 08 D ONORS LIST

INDIVIDUAL Karl Lee Major & Mrs. Neil F. Rothman, Ken Schwartz USAF (Ret.) $1,000 and above Kris Draper Richard Robb Albert Mazza Malcolm Bahrenburg Robert J. Eichenberg Alfred Kim Mark Kadzielski Robert J. Wicks C. Worthington Michael E. Adler Ross S. Mickey Claudine Harris Michael Ferguson Walter Mau Clinton & Suzi Churchill Michael Stevens $10,000 and above Dale Van Matre Nancy Smith Chandler Alexander “Sandy” Gaston David Richardson Olivia De Jane Northrop Grumman Donald Powers Peter Steigerwald Edward Mortensen $100,000 and above Ray Hawkins Eric Mifkovic James M. Slattery Reginald Fogg Estelle Hendrickson Mary Bazar Richard Clauss Frank Diegmann Seymour Robin Richard Hanchett Geoffrey B. Dozier Robert Hopper COMPANIES George Bermant Robert Washburn $5,000 and above Gerald Schemmel Thomas Davis PanAm Association Glenn Dethloff Thomas Scott Aloha Chapter Grant Graeber Thomas Vines Salem Communications Harold Gigstad Tommy Welch Henry Sakaida $10,000 and above William Pusey Hiromu Yogi EADS North America, Inc Yutaka McAlpine Hiroya Sugino, M.D. FedEx Corp $3,000 and above Howard Johnston General Atomics Jerry Nostrand Howard Varner $100,000 and above Robert Perkin Imata Kabua Koch Business Holdings, LLC James K. Schuler $5,000 and above FOUNDATIONS Jean Rolles Edward G. Atsinger, III Jeff Dahlgren Janice Nielsen $1,000 and above Armstrong Foundation Jerry Koskovich Jim Knuppe Boutiki John Walsh John V. Gibson Jhamandas Watumull Fund John & Maria Wilson Ladorna Eichenberg Karl Larson Louis L. Gowans, Jr.

09 PACIFIC AVIATION MUSEUM Pearl Harbor D ONORS LIST

$3,000 and above Hexberg Family Foundation

$5,000 and above Kosasa Foundation Women’s Fund of Hawaii

$10,000 and above Atherton Family Foundation G. N. Wilcox Trust Marguerite Gambo Wood Foundation McInerny Foundation

PACIFIC AVIATION MUSEUM Pearl Harbor 10